Option traders are generally confronted with more decisions to make about a potential trade than stock traders. In this article we’ll cover some of the important considerations when selecting strike prices for a bull call spread strategy.

Once a bullish stock candidate has been identified, option traders need to select an appropriate strategy that matches their price forecast. In this article, we’ll take a closer look at how an in-the-money (ITM) bull call spread stacks up against an out-of-the-money (OTM) bull call spread.

If a concentrated stock position represents a large share of an investor’s wealth, then that investor is susceptible to idiosyncratic, or stock specific risk. This is why many investors turn to equity collars as a way to protect their concentrated stock positions in an economically efficient manner.

With so many bullish options strategies to choose from, how do you know which is right for your next trade? In this article, we’ll compare two bullish options strategies in order to assist you with the decision-making process.

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Options carry a high level of risk and are not suitable for all investors. Certain requirements must be met to trade options through Schwab. Please read the options disclosure document titled "Characteristics and Risks of Standardized Options." Supporting documentation for any claims or statistical information is available upon request.

Multiple-leg options strategies will involve multiple commissions. Covered calls provide downside protection only to the extent of the premium received and limit upside potential to the strike price plus premium received.

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